Question 1

The company's times interest earned ratio for Year 2 is closest to:

Accepted Answer

A) 7.71 
B) 2.61 
C) 5.01 
D) 4.01 
A) 7.71 
B) 2.61 
C) 5.01 
D) 4.01

Question 2

The gross margin percentage is equal to:

Accepted Answer

A) (Net operating income + Selling and administrative expenses)/Sales 
B) Net operating income/Sales 
C) Cost of goods sold/Sales 
D) Cost of goods sold/Net income 
A) (Net operating income + Selling and administrative expenses)/Sales 
B) Net operating income/Sales 
C) Cost of goods sold/Sales 
D) Cost of goods sold/Net income

Question 3

Hyrkas Corporation's most recent balance sheet and income statement appear below:     Dividends on common stock during Year 2 totaled $30 thousand.The market price of common stock at the end of Year 2 was $6.90 per share.
Required:
Compute the following for Year 2:
a.Gross margin percentage.
b.Earnings per share.
c.Price-earnings ratio.
d.Dividend payout ratio.
e.Dividend yield ratio.
f.Return on total assets.
g.Return on equity.
h.Book value per share.
i.Working capital.
j.Current ratio.
k.Acid-test (quick)ratio.
l.Accounts receivable turnover.
m.Average collection period.
n.Inventory turnover.
o.Average sale period.
p.Times interest earned ratio.
q.Debt-to-equity ratio.

Accepted Answer

a.Gross margin percentage = Gross margin

Question 4

The company's times interest earned ratio for Year 2 is closest to:

Accepted Answer

A) 1.43 
B) 3.47 
C) 2.43 
D) 1.00 
A) 1.43 
B) 3.47 
C) 2.43 
D) 1.00

Question 5

Wowk Corporation has provided the following financial data:   Required:
a.What is the company's working capital?
b.What is the company's current ratio?
c.What is the company's acid-test (quick)ratio?

Accepted Answer

a.Working capital = Current assets - Cur

Question 6

Jester Corporation's most recent income statement appears below:   The beginning balance of total assets was $360,000 and the ending balance was $320,000.The return on total assets is closest to:

Accepted Answer

A) 26.5% 
B) 18.5% 
C) 22.6% 
D) 32.4% 
A) 26.5% 
B) 18.5% 
C) 22.6% 
D) 32.4%

Question 7

Broch Corporation's income statement appears below:   The company's times interest earned ratio is closest to:

Accepted Answer

A) 4.87 
B) 1.41 
C) 3.16 
D) 2.16 
A) 4.87 
B) 1.41 
C) 3.16 
D) 2.16

Question 8

To increase total asset turnover, management must either increase sales or reduce total stockholders' equity.

Accepted Answer

A) True 
 B)False

Question 9

Klein Corporation has provided the following data:   The company's equity multiplier is closest to:

Accepted Answer

A) 1.24 
B) 0.56 
C) 1.80 
D) 0.81 
A) 1.24 
B) 0.56 
C) 1.80 
D) 0.81

The company's times interest earned ratio for Year 2 is closest to:

The gross margin percentage is equal to:

The company's times interest earned ratio for Year 2 is closest to:

Wowk Corporation has provided the following financial data: Required: a.What is the company's working capital? b.What is the company's current ratio? c.What is the company's acid-test (quick)ratio?

Jester Corporation's most recent income statement appears below: The beginning balance of total assets was $360,000 and the ending balance was $320,000.The return on total assets is closest to:

Broch Corporation's income statement appears below: The company's times interest earned ratio is closest to:

To increase total asset turnover, management must either increase sales or reduce total stockholders' equity.

Klein Corporation has provided the following data: The company's equity multiplier is closest to:

Managerial Accounting and Cost Concepts

Job-Order Costing: Calculating Unit Product Costs

Job-Order Costing: Cost Flows and External Reporting

Activity-Based Costing

Process Costing6 Cost-Volume-Profit Relationships

Cost-Volume-Profit Relationships

Variable Costing and Segment Reporting: Tools for Management

Master Budgeting

Performance Measurement in Decentralized Organizations

Differential Analysis: The Key to Decision Making

Capital Budgeting Decisions

Flexible Budgets Standard Costs and Variance Analysis

Statement of Cash Flows

Job-Order Costing: Cost Flows and External Reporting

Process Costing6 Cost-Volume-Profit Relationships

Cost-Volume-Profit Relationships

Flexible Budgets, Standard Costs, and Variance Analysis

Flexible Budgets, Standard Costs, and Variance Analysis

A Capital Budgeting Decisions

A Statement of Cash Flows

Filters

Exam 14: Financial Statement Analysis

The company's times interest earned ratio for Year 2 is closest to:

The gross margin percentage is equal to:

The company's times interest earned ratio for Year 2 is closest to:

Wowk Corporation has provided the following financial data: Required: a.What is the company's working capital? b.What is the company's current ratio? c.What is the company's acid-test (quick)ratio?

Jester Corporation's most recent income statement appears below: The beginning balance of total assets was $360,000 and the ending balance was $320,000.The return on total assets is closest to:

Broch Corporation's income statement appears below: The company's times interest earned ratio is closest to:

To increase total asset turnover, management must either increase sales or reduce total stockholders' equity.

Klein Corporation has provided the following data: The company's equity multiplier is closest to:

Managerial Accounting and Cost Concepts

Job-Order Costing: Calculating Unit Product Costs

Job-Order Costing: Cost Flows and External Reporting

Activity-Based Costing

Process Costing6 Cost-Volume-Profit Relationships

Cost-Volume-Profit Relationships

Variable Costing and Segment Reporting: Tools for Management

Master Budgeting

Performance Measurement in Decentralized Organizations

Differential Analysis: The Key to Decision Making

Capital Budgeting Decisions

Flexible Budgets Standard Costs and Variance Analysis

Statement of Cash Flows

Job-Order Costing: Cost Flows and External Reporting

Process Costing6 Cost-Volume-Profit Relationships

Cost-Volume-Profit Relationships

Flexible Budgets, Standard Costs, and Variance Analysis

Flexible Budgets, Standard Costs, and Variance Analysis

A Capital Budgeting Decisions

A Statement of Cash Flows

Filters